- The average total cost of production

a) equals total cost of production multiplied by the level of output.

b) equals total cost of production divided by the level of output.

c) equals the explicit cost of production.

d) is the extra cost required to produce one more unit.

- The law of diminishing marginal returns

a) ultimately explains why production displays diseconomies of scale.

b) sets in because not all workers are equally productive

c) applies only in the short run.

d) holds even when there are no fixed factors.

- The law of diminishing marginal returns

a) causes the difference between average total cost and average variable cost to get smaller as output increases.

b) explains why the average total cost and marginal cost curves are U-shaped in the short run.

c) explains why the average total cost, average fixed cost, and the marginal cost curves are U-shaped in the short run.

d) causes average total cost to rise at a decreasing rate as output increases.

The normal cost entry associated with the billing of a job would a. Debit cost of sales and credit work in process b. Debit work in process and credit cost of sales c. Debit cost of sales and credit sales Real estate Co. owns a shopping center in Manhattan Beach and leases to Trader Joes for 5 years. The annual lease payments over 5 years are as follows: Yr 1: 100,000 Yr 2: 120,000 Yr 3: 140,000 Yr 4: 160,000 Yr 5: 180,000 700,000 Question: 1. Management has been asked by third parties to provide financials on a GAAP basis. What is the amount of revenue recognized in year 1 of the lease? 2. What is the Journal entry? Your client has been making monthly payments on a company car that was financed through FMC at an annual interest rate of 5%. The monthly payment amount is $1,000. When accounting for the payments he would record a debit to the Auto Expense account and a credit to cash. Is this accounting correct? In not, how should the payments be accounted for

Write the definition of each term.

How to calculate the component cost of preferred stocks for a firm? Is cost of preferred stock in a company greater than its component cost of debt, why?

Suppose an optimization problem is trying to minimize the cost function : Cost = 7S + 10R.   The company is producing two products, product S and product R, subject to the following constraints:

                                S + R ≤ 90

                        3S + 10R ≥ 620

                        R ≤ 100

                        S ≥ 20

                        S, R ≥ 0

Program this into a blank Excel worksheet and use Solver to find the solution for S and R such that the objective function is minimized.

Can you please explain how to do that in excel ? I need the process . I don't really need the handwritten format .I just need to understns how to do that in excel .

Preparation of a Schedule of Cost of Goods Manufactured and Cost of Goods Sold

The following cost and inventory data for the year just completed are taken from the accounting records of Eccles Company:

Costs incurred:

Advertising expense ...........................$100,000

Direct labour cost ..................................$80,000

Purchases of raw materials ................$137,000

Rent, factory building ............................$80,000

Indirect labour .......................................$56,300

Sales commissions................................$35,000

Utilities, factory ........................................$9,000

Maintenance, factory equipment ...........$24,000

Supplies, factory ........................................ $700

Depreciation, office equipment.................$8,000

Depreciation, factory equipment ............$40,000

                                                            Beginning                  End

                                                            of Year                       of Year

Inventories:

Raw materials ......................          $10,000                      $8,000

Work in process .....................        $20,000                      $5,000

Finished goods .....................          $25,000                      $70,000

Required:

1. Prepare a schedule of cost of goods manufactured.

2. Prepare the cost of goods sold section of Eccles Company's income statement for the year.

18. Provide an explanation or the rationale for the cost of capital (average or overall cost of capital, WACC) to an economic firm. That is, explain why the WACC should be used as the minimum required return.

What is a period cost and how does it differ from a product cost?

Describe COST OF QUALITY in detail? (Prevention Cost and other related Costs)